BMW on track to meet 2020 financial targets after sales recovery led by China

BMW AG is on track to meet its full-year targets after a recovery in auto sales led by China helped the manufacturer weather the coronavirus pandemic.

The German carmaker will meet both its full-year forecasts and the European Union-mandated CO2 targets this year, Chief Financial Officer Nicolas Peter said Thursday. He cited a boon from China, where car sales rose by a fifth in September from a year ago.

“The third quarter was much better than the second quarter, but with different speeds in different markets and regions," Peter said during a call with reporters.

BMW has projected an automotive Ebit margin of between 0% and 3% this year, and for sales to be significantly lower than last year after the pandemic shut down factories and dealerships. Deliveries of BMW-brand vehicles are down 11% this year through September, the company said earlier this week.

The automaker is also trying to ramp up sales of electric cars to meet emissions regulations in Europe that will get stricter in 2021. Peter said he sees the company complying with those rules this year and next year.